The Privacy Shield agreement is intended to guarantee the personal information of European Union citizens the same privacy protection when processed in the U.S. as it would receive at home. Where these guarantees are not available, the information must stay in the EU.

Privacy Shield replaces the earlier Safe Harbor agreement, which was torn up by the Court of Justice of the European Union last October because it did not provide adequate protection.

Like its predecessor, the Privacy Shield require U.S. businesses that want to process EU citizens’ personal information to self-certify that they will comply with a certain number of principles.

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